Property Prices Rise in 48 of 50 Cities in Q4 FY25, NHB RESIDEX Data Shows

According to NHB RESIDEX data, 48 out of 50 cities saw a rise in property prices in Q4 FY25, with only Howrah and Thiruvananthapuram experiencing a decline. The 50-city Housing Price Index recorded an annual increase of 7.5% and a Q-o-Q expansion of 1.9%. Eight key primary residential markets saw appreciation, with Ahmedabad, Bengaluru, Chennai, Delhi, Hyderabad, Kolkata, Mumbai, and Pune experiencing increases.

According to the National Housing Bank (NHB) RESIDEX data, 48 out of 50 cities experienced an increase in property prices during the fourth quarter of 2024-25. Only Howrah and Thiruvananthapuram reported a decline. The 50-city Housing Price Index (HPI) recorded an annual increase of 7.5%, up from 5.1% a year ago. This represents a robust performance in the residential real estate sector.

The quarter-on-quarter (Q-o-Q) expansion of the 50-city index was 1.9%, indicating a consistent upward trend in property values. Eight key primary residential markets, including Ahmedabad, Bengaluru, Chennai, Delhi, Hyderabad, Kolkata, Mumbai, and Pune, witnessed significant appreciation in property prices. Ahmedabad saw a 6.1% rise, Bengaluru a 13.1% increase, Chennai a 9% rise, Delhi a 2.9% increase, Hyderabad a 4.8% rise, Kolkata a 9.6% increase, Mumbai a 5.9% rise, and Pune a 6.8% increase.

The interest rate on home loans also played a role in this trend. In February 2025, the Reserve Bank of India (RBI) reduced the repo rate by 25 basis points, marking the first rate cut in five years. This moderation in interest rates could have contributed to the increase in property prices by making home loans more affordable.

JSW Steel, a prominent player in the steel industry, reported a 15.7% year-on-year (YoY) increase in consolidated net profit for the January-March quarter (Q4FY25), reaching ₹1,503 crore. This was driven by lower coking coal prices and improved margins. However, the company's overall financial performance for FY25 was mixed, with a significant decline in net profit compared to the previous year.

The data from NHB RESIDEX and JSW Steel's financial results provide a mixed picture of the economic landscape. While property prices are surging, indicating a strong demand for residential real estate, other sectors like steel production are facing challenges in maintaining profitability.

References:
[1] https://www.business-standard.com/industry/news/property-prices-rose-in-48-of-50-cities-in-q4-fy25-nhb-residex-data-125052400919_1.html
[2] https://www.business-standard.com/companies/quarterly-results/jsw-steel-q4fy25-net-profit-up-15-7-pc-on-lower-coal-costs-125052301554_1.html